Outsourcing or Staff Augmentation?
No matter what is your business sector, or the industry you belong to, the struggle to be the best in the market is harsh. Everyone is fighting to become successful and take over as many projects as possible to increase their profits. However, there are times we get stuck and need additional help to be able to cope with the work. Of course, there is no road without obstacles clay. Some common challenges you may encounter along your way include:
- Inability to meet a deadline
- The need to reduce costs
- Efficiency Improvement
- Coping with the ever-changing business trends
- Lack of Resources
- Lack of Expertise
You’re thinking about hiring more people to work for you on a particular project, but, have you thought about how you’re going to maintain those employees after the end of the project? In the recent years, many companies use Outsourcing or Staff Augmentation as a solution to conclude their projects successfully. Before making a decision, make a comparison between the financial advantages or disadvantages of hiring an expert for an indefinite period time. Think about the obligations that you have towards an in-house worker – taxes that need to be paid, the wage and other additional expenses. Then compare it with the possibility to pay an outsourcer with whom you will stop the collaboration when a particular project is closed. Besides outsourcing, you also have the possibility of Staff Augmentation. Many professional companies think that this option is more convenient because you can bring a qualified and skilled team that provides you with staff.
Besides the fact that you’ll be able to face all the challenges that we mentioned above, there are other advantages of hiring professional outsiders. One of the most important benefits you’ll have from using a Staff Augmentation solution is the fact that you won’t have to train them, they’re already certified and experienced workforce and will work alongside your permanent team. Other benefits include:
- You have no legal obligations towards them in terms of paying taxes, giving bonuses and health insurances.
- You have no obligations in terms of these employees’ different concerns.
- You can adjust the number of the staff depending on your needs and requirements.
- The fact that there is additional help will ease the stress of your permanent staff. In the meantime, they won’t feel threatened because the contract with the SA is expired with the closure of the project.
- The flexibility to adapt the SA team depending on your project needs and business conditions.
As we mentioned above, both solutions can be useful depending on the business expectations. For instance, proposal writing companies usually use staff augmentation for proposal writing solutions for other companies that are resource-limited or overwhelmed with work. On the other hand, digital agencies totally outsource their projects to other competent companies due to cost reduce.